MMA Benefits

Repaying your mortgage early

By admin ⋅ January 10, 2008 ⋅ Email this information ⋅  Print this post ⋅ Post a comment

When repaying a mortgage,it’s not the rate you pay that’s most important. What matters most is the total amount of interest you pay over the term of your loan. With the Money Merge Account system you use your line of credit to reduce the balance owing on your primary mortgage, and you reposition your regular income and your unused “stagnant” money you normally leave sitting in your regular checking and/or savings account to reduce the balance owing on your line of credit. By repositioning your regular income and your unused “stagnant” money you normally leave sitting in your regular checking and/or savings account, you are able to keep your line of credit balance as low as possible which can significantly reduce the interest that would normally be charged on the line of credit. This means more of your money goes towards your principal balance each month, helping you repay your mortgage years ahead of your standard mortgage schedule. The online software system and customer service provides crucial guidance as to the specific transfer amounts and timing that is needed to provide each individual homeowner with the best interest savings possible under this system. Optimum interest savings under this system is a delicate balance between your primary mortgage, your line of credit, your income, expenses, transfers, etc. If you transfer too much to your primary mortgage, it can cost you more interest on your line of credit. If you transfer too little, it can cost you “lost” interest savings on your primary mortgage. This system helps homeowners to reduce both the interest and time owing on their existing mortgage by strategically positioning their money where it can provide much more financial benefit than “sitting stagnant” in a standard checking or savings account. Also, unspent “stagnant” money that homeowners would normally leave in their checking and/or savings account is now working for them 24 hours a day without requiring them to change their lifestyle. When you need money for expenses, you can access it through your line of credit. Vast financial features and details programmed into the MMA software help to better educate the homeowner and assist in the greatest time and interest savings possible under this system.